Hyatt Hotels primarily earns revenue through sales of rooms and other ancillary services for its owned and leased hotels. The company also manages and franchises third-party owned properties for which it charges a fee. We estimate that the third-party owned hotel operations account for more than more than 65% of the company’s stock value. This can be attributed to higher margins associated with this business as the operating costs for these hotels are borne by the third-party owner.
Vía Forbes Real Time http://ift.tt/1Fbb8j0